Regulation

‘You’re not off the hook’: City firms urged to stay on guard after FCA harassment pause

The watchdog has pushed back plans to crack down on non-financial misconduct, but City firms should not assume it has taken its eye off the ball

Executives should stay alert, as the City watchdog is still likely to come down hard on poor behaviour, experts tell FN
Executives should stay alert, as the City watchdog is still likely to come down hard on poor behaviour, experts tell FN Photo: Getty Images

The City watchdog might have pushed back its work to root out sexual harassment, discrimination and bullying, but financial services companies are being urged to keep a keen eye on ‘non-financial misconduct’ as regulators will strike again.

The Financial Conduct Authority told MPs on the Treasury Committee on 12 March that it was axing plans for new rules on diversity, equity and inclusion and pushing back its update on investigations into non-financial misconduct, despite a surge in such cases since 2021.

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